Drawback

Category: Customs

Also searched as: Drawback

Definition (plain English)

Duty drawback is a refund program that returns eligible import duties, taxes, or fees when goods are exported or destroyed under customs rules. Recovery depends on strict matching records and filing timelines.

Why it matters commercially

Duty drawback can recover cash on qualifying re-exports, improving real margin if records are disciplined.

Example

A company reclaimed duty after linking import entries to later export shipments.

Common mistake

Expecting drawback refunds without lot-level traceability.

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